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02/25/2021

Ruby Tuesday Exits from Chapter 11 Restructuring

The bankruptcy allowed Ruby Tuesday to shed liabilities, including leases from closed locations that were significantly impacted by COVID-19, and to strengthen its core business of 209 corporate-owned and operated locations.

Ruby Tuesday has emerged from bankruptcy. A Delaware bankruptcy judge confirmed the casual dining restaurant chain’s Chapter 11 plan of reorganization on February 17. The company had sought bankruptcy protection on October 7, 2020. The bankruptcy allowed Ruby Tuesday to shed liabilities, including leases from closed locations that were significantly impacted by COVID-19, and to strengthen its core business of 209 corporate-owned and operated locations. The successful emergence from Chapter 11 will allow Ruby Tuesday to reinforce the brand’s commitment to its existing guests, while continuing to develop virtual “delivery-only” brands to capitalize on its core strengths and increased off-premise business as part of the company’s long-term growth plan.

“Ruby Tuesday is a healthier company now and is positioned to be more efficient, competitive and stable for the future,” said Shawn Lederman, CEO of Ruby Tuesday. “We want to thank our employees, partners and creditors for helping to ensure our plan of reorganization was successful and we look forward to continuing quality service for our guests and communities for many years to come.”

Additional information about the company’s reorganization can be found at https://dm.epiq11.com/RubyTuesday.